HSA News for January 18, 2021
HSA news is compiled weekly by Mr. HSA, Roy Ramthun.
News from Washington
Biden Calls for Swift Action While Outlining $1.9 Trillion Virus Relief Package
President-elect Joe Biden outlined his $1.9 trillion stimulus proposal on January 14 and called for swift action on it. Biden said the plan would support coronavirus vaccination efforts, help reopen schools, deliver critical aid to workers and small businesses, tackle the hunger crisis and send funding to state and local governments.
HSA Studies & Analysis
“Mr. HSA” Projects 2022 HSA Amounts
Roy Ramthun, aka "Mr. HSA," has released his projections of the HSA contribution limits and HDHP deductible and out-of-pocket limits for 2022. He plans to finalize his projections in April.
HSA Compliance Corner
HSA Established When HSA-Qualified Plan Is Effective? Probably Not!
Understanding when your health savings account is established is an important concept, especially if you incur large expenses before your first payroll deduction is deposited. Under IRS rules, HSA owners cannot reimburse any expenses - even for qualified services - that they incurred before they established their account.
Industry Best Practices
What Employers Need to Know About HSAs
Understanding health savings accounts can help employers decide whether offering them would be beneficial to employees.
HSAs & Retirement
These Retirement Expenses Could Bust Your Budget. Plan Accordingly
Medicare Part B charges a monthly premium, as does Part D. You'll also be on the hook for deductibles under both Parts A and B, coinsurance, and other costs, so don't expect medical care to be cheaper during retirement than it is during your working years. And the average 65-year-old today has close to a 70% chance of needing long-term care at some point during retirement.
What Today's Seniors Are Spending on Healthcare -- and Why the Numbers Are So Disturbing
It's not a secret that healthcare is a major expense for seniors. In fact, for many retirees, it's their single greatest monthly expense. But new data from the Senior Citizens League reveals that older Americans are spending an uncomfortably large chunk of their income on medical expenses, and it's apt to be hurting them in a very big way.
Maximizing Your HSA
21 Surprising Things You Can Pay for With an HSA
The key to getting the most from your HSA is to use the money for expenses that the IRS has deemed “qualified.” Some of these are obvious, But you can also use an HSA to cover costs you might never have imagined. IRS Publication 502 details a list of sometimes surprising expenses that qualify for HSA reimbursement.
Using Your Health Savings Account in the Battle Against COVID-19
If you have a Health Savings Account, can you use it to battle the effects of the coronavirus? Some of the expenses that you've incurred as you've tried to keep your family and yourself healthy or treated a case of COVID-19 may qualify for tax-free reimbursement from your HSA. But others won't.
You Can Use FSA and HSA Funds to Buy an Eye Mask, but Not Masks to Protect Against Coronavirus
You can use funds in your health savings account to buy anti-itch insect gel. But paper and cloth masks to protect against the coronavirus are not broadly accepted as eligible for purchase with HSA funds. Hand sanitizer and surface cleaners used to prevent the spread of the virus are also ineligible.
Consumer-Driven Health Care
UnitedHealthcare Just Became the Latest Health Insurer to Encourage Patients to See a Primary-Care Doctor Online
UnitedHealthcare became the latest health insurer to unveil a new telehealth service that allows people to get primary care through a computer or phone screen instead of going to a brick-and-mortar doctor's office.